A Canadian company seeking to build a pipeline to transport crude oil from Canada to Gulf Coast refineries has submitted a new application for the southern segment of the project.

It comes after the U.S. Environmental Protection Agency raised concerns about the original route crossing sensitive wetlands near the Texas Gulf Coast.

Army Corps of Engineers official Vicki Dixon says Thursday that TransCanada submitted a new permit application in April after the EPA sent a letter in November requesting a more rigorous review process.

She says the EPA was concerned the pipeline would impact sensitive wetland habitat in Galveston, Texas. The new route avoids the wetlands. TransCanada will drill horizontally under the watershed in some cases. The EPA will not be involved in the review.

The Keystone XL project has created tensions between the U.S. and Canada.